Customs Tariff Amendment (Australia-United Arab Emirates Comprehensive Economic Partnership Agreement Implementation)

Current status

This bill became law on Aug 2nd, 2025.

Policy area

Budget, tax & economy

What does this bill do?

The Act amends the Customs Tariff Act 1995The Commonwealth law that sets customs duty rates. This Act adds the UAE preferential tariff schedule to it. to implement Australia’s tariff commitments under the Australia-United Arab Emirates Comprehensive Economic Partnership AgreementThe free trade agreement between Australia and the United Arab Emirates that this Act helps implement for customs tariffs..

Why was it introduced?

The bill was introduced to let Australia apply the tariff side of the Australia-UAE Comprehensive Economic Partnership AgreementThe free trade agreement between Australia and the United Arab Emirates that this Act helps implement for customs tariffs.. The government said the agreement would diversify trade, improve certainty for exporters and importers, and support commercial and strategic links with Australia’s largest trade and investment partner in the Middle East. This bill supplies the tariff rates; the companion Customs Amendment Act supplies the rules for deciding which goods qualify as UAE originating goodsGoods that meet the agreement’s rules of origin for the United Arab Emirates. Only those goods can receive the preferential UAE tariff rates..

Broader context

This Act is one half of the domestic customs law package for Australia’s first free trade agreement with a Middle Eastern country. The policy story is mostly about trade diversification, market access for exporters, investment links and rules for applying lower tariffs. Parliamentary debate was broadly supportive, with criticism focused more on adjacent trade and industry policy than on the tariff mechanism itself.

Key criticism

The bill’s tariff mechanism did not face substantial opposition in the collected record. Coalition speakers supported the package, but used debate to criticise related government policies on live sheep exports and industry subsidies.

Who supported it?

Julian Hill MP introduced this bill. It passed on the voices.

Introduced in House 24 July 2025
Passed House 30 July 2025
Passed Senate 31 July 2025
Became law 02 Aug 2025

Did it become law?

Yes

Became law 02 Aug 2025

Final passage

Passed without a counted vote

Members called out ‘aye’ or ‘no’ — no individual votes were recorded.

Passage speed

9 days

From introduction to the latest recorded parliamentary step

Official record

View on APH

Parliament of Australia bill page

What does this bill do?

  1. The Act amends the Customs Tariff Act 1995The Commonwealth law that sets customs duty rates. This Act adds the UAE preferential tariff schedule to it. to implement Australia’s tariff commitments under the Australia-United Arab Emirates Comprehensive Economic Partnership AgreementThe free trade agreement between Australia and the United Arab Emirates that this Act helps implement for customs tariffs..

  2. UAE originating goodsGoods that meet the agreement’s rules of origin for the United Arab Emirates. Only those goods can receive the preferential UAE tariff rates. that are not listed in the new Schedule 16The new schedule inserted into the Customs Tariff Act listing duty rates for UAE originating goods that are not immediately duty free. receive a free rate of customs duty once the agreement enters into force for Australia.

  3. New Schedule 16The new schedule inserted into the Customs Tariff Act listing duty rates for UAE originating goods that are not immediately duty free. sets phased duty rates for some UAE originating goodsGoods that meet the agreement’s rules of origin for the United Arab Emirates. Only those goods can receive the preferential UAE tariff rates., with those rates reducing to free by the fifth calendar year after the agreement enters into force.

  4. Some alcohol, tobacco, fuel and petroleum products remain subject to excise-equivalent customs duties, so imported UAE originating goodsGoods that meet the agreement’s rules of origin for the United Arab Emirates. Only those goods can receive the preferential UAE tariff rates. are treated like comparable Australian-made goods.

  5. The Act also updates concessional tariff provisions so concessions and tariff concession orders can apply properly to UAE originating goodsGoods that meet the agreement’s rules of origin for the United Arab Emirates. Only those goods can receive the preferential UAE tariff rates..

  6. The tariff amendments work with the companion Customs Amendment Act, which creates the rules of originRules used to decide whether goods genuinely come from a trade agreement partner for tariff purposes. The companion Customs Amendment Act contains these rules for UAE goods. used to decide whether imported goods count as UAE originating goodsGoods that meet the agreement’s rules of origin for the United Arab Emirates. Only those goods can receive the preferential UAE tariff rates..

Show source excerpts
  1. amend the Customs Tariff Act 1995 ... to give effect to the preferential tariff treatment applicable to goods covered by the Comprehensive Economic Partnership Agreement
    Customs Tariff Amendment explanatory memorandum
  2. provide for a ‘Free’ rate of customs duty for UAE originating goods not listed in new Schedule 16. The ‘Free’ rate will have effect from entry into force of the Agreement for Australia
    Customs Tariff Amendment explanatory memorandum
  3. specify the phasing rates of customs duty for certain UAE originating goods that will incrementally reduce to ‘Free’ by the fifth calendar year after the Agreement enters into force
    Customs Tariff Amendment explanatory memorandum
  4. maintain rates of customs duty imposed on certain alcohol, tobacco, fuel and petroleum products which are equivalent to the rates of excise duty payable on these goods when locally manufactured
    Customs Tariff Amendment explanatory memorandum
  5. amend Schedule 4 to maintain customs duty rates for certain UAE originating goods in accordance with the applicable concessional items
    Customs Tariff Amendment explanatory memorandum
  6. Complementary amendments to the Customs Tariff Act 1995 are also required to provide for these preferential rates of customs duty applicable to UAE originating goods.
    Assistant minister second-reading speech

Broader context for this bill

This Act is one half of the domestic customs law package for Australia’s first free trade agreement with a Middle Eastern country. The policy story is mostly about trade diversification, market access for exporters, investment links and rules for applying lower tariffs. Parliamentary debate was broadly supportive, with criticism focused more on adjacent trade and industry policy than on the tariff mechanism itself.

  1. 17 Mar 2022

    Australia and the UAE signal trade talks

    The explanatory memorandum says Australia and the UAE announced an intention to pursue the Comprehensive Economic Partnership AgreementThe free trade agreement between Australia and the United Arab Emirates that this Act helps implement for customs tariffs. in a joint ministerial statement.

    Explanatory memorandum ↗
  2. 13 Dec 2023

    Formal negotiations are announced

    The explanatory memorandum says the trade minister officially announced the start of negotiations on 13 December 2023, after public reporting that the government was turning attention to the UAE as EU talks stalled.

    Explanatory memorandum and Australian Financial Review ↗
  3. 17 Sept 2024

    Negotiations conclude with investment focus

    The government announced the conclusion of negotiations. Collected news reporting described expected tariff removals for almost all Australian goods exports and possible UAE investment in critical minerals.

    Explanatory memorandum and Australian Financial Review ↗
  4. 06 Nov 2024

    Agreement is signed in Canberra

    The explanatory memorandum says the agreement was done on 6 November 2024, alongside a standalone investment agreement and memoranda of understanding relating to investment.

    Explanatory memorandum ↗
  5. 24 July 2025

    Tariff implementation bill enters Parliament

    Julian Hill introduced the tariff bill with the companion Customs Amendment bill so Australia could apply preferential duty rates and rules of originRules used to decide whether goods genuinely come from a trade agreement partner for tariff purposes. The companion Customs Amendment Act contains these rules for UAE goods. when the agreement enters into force.

    APH bill page and second-reading speech ↗
  6. 29 July 2025

    House debate shows broad support

    Kevin Hogan supported the two-bill package and described the agreement as positive, while criticising the government’s live sheep export policy as a missed opportunity for UAE trade.

    House second-reading debate ↗
  7. 31 July 2025

    Senate passes both UAE customs bills

    The Senate debated the package and passed the bills. Nita Green said the Joint Standing Committee on TreatiesThe parliamentary committee that examines treaty actions. Debate on this package said it reviewed the agreement and recommended binding treaty action. had recommended binding treaty action.

    Senate second-reading debate ↗
  8. 02 Aug 2025

    Royal Assent starts only the machinery provisions

    Royal Assent commenced sections 1 to 3. Schedule 1 depends on the companion Customs Amendment Act and the agreement entering into force for Australia.

    Final Act text and explanatory memorandum ↗

How did it move through Parliament?

House Senate
Introduced 24 July 2025

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 24 July 2025

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Second reading debate 29 July 2025

The bill reached this recorded parliamentary step.

Sent to Federation Chamber for debate 29 July 2025

The bill reached this recorded parliamentary step.

Referred to Federation Chamber

Federation Chamber debate 29 July 2025

The bill reached this recorded parliamentary step.

Second reading debate

House second reading agreed 29 July 2025

The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.

Second reading agreed to

Returned from Federation Chamber 30 July 2025

The bill reached this recorded parliamentary step.

Reported from Federation Chamber

House third reading agreed 30 July 2025

The chamber agreed to the bill at third reading, which completed passage through that chamber.

Third reading agreed to

Introduced 31 July 2025

The bill was formally presented to the chamber and read a first time, which starts its parliamentary journey.

Introduced and read a first time

Second reading opened 31 July 2025

A minister or sponsoring member moved the second reading, opening the main debate on the bill's purpose and principles.

Second reading moved

Second reading debate 31 July 2025

The bill reached this recorded parliamentary step.

Senate second reading agreed 31 July 2025

The chamber agreed to the bill at second reading, meaning it accepted the bill in principle and allowed it to continue.

Second reading agreed to

Senate third reading agreed 31 July 2025

The chamber agreed to the bill at third reading, which completed passage through that chamber.

Third reading agreed to

Passed both houses 31 July 2025

Both houses passed the bill in the same form, completing parliamentary passage.

Finally passed both Houses

Assent 02 Aug 2025

The Governor-General gave Royal Assent, turning the bill into an Act.

Joint Standing Committee on TreatiesThe parliamentary committee that examines treaty actions. Debate on this package said it reviewed the agreement and recommended binding treaty action. review

The trade agreement had treaty committee scrutiny before the customs implementation bills were passed.

Recommended binding treaty action

Second-reading speeches and explanatory memorandum

The main case against this bill

The bill’s tariff mechanism did not face substantial opposition in the collected record. Coalition speakers supported the package, but used debate to criticise related government policies on live sheep exports and industry subsidies.

These criticisms were mostly about adjacent trade, agriculture and industry policy. They did not amount to recorded opposition to the bill’s passage or to the core tariff changes.

Live sheep export ban

Kevin Hogan and Jonathon Duniam argued that the UAE agreement could have helped the live sheep industry, but the government’s policy to end live sheep exports left that opportunity unrealised.

Raised by Coalition speakers Source ↗

Industry subsidies

Andrew Bragg supported trade liberalisation but warned against government industry subsidies, criticising Future Made in Australia as picking winners rather than improving competitiveness.

Raised by Andrew Bragg Source ↗

Further sources

Recorded votes

How the bill itself passed

The bill passed both chambers on the voices, so there is no list of individual Aye and No votes for final passage.

Passed

House passed the bill

House agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.

30 July 2025

Passed on the voices

In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.

Passed

Senate passed the bill

Senate agreed to the bill's third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.

31 July 2025

Passed on the voices

In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.

Who spoke, and what they said

Start here — lead voices

Sponsor speech Supports

Julian Hill

Australian Labor Party • MP 24 July 2025

Julian Hill introduced the two-bill package and said the tariff bill would insert Schedule 16The new schedule inserted into the Customs Tariff Act listing duty rates for UAE originating goods that are not immediately duty free. into the Customs Tariff Act so UAE originating goodsGoods that meet the agreement’s rules of origin for the United Arab Emirates. Only those goods can receive the preferential UAE tariff rates. can receive preferential duty rates under the agreement.

Read in Hansard ↗
Lead supporting voice Supports

Kevin Hogan

National Party • MP 29 July 2025

Kevin Hogan supported the two-bill package and said the agreement would open Middle East opportunities, while criticising the government’s live sheep export policy.

Read in Hansard ↗
Lead voice Supports

Jenny McAllister

Australian Labor Party • Senator 31 July 2025

Jenny McAllister moved the second reading in the Senate and incorporated the government’s speeches explaining that the bill would apply preferential duty rates for UAE originating goodsGoods that meet the agreement’s rules of origin for the United Arab Emirates. Only those goods can receive the preferential UAE tariff rates..

Read in Hansard ↗
Lead voice Supports

Andrew Bragg

Liberal Party • Senator 31 July 2025

Andrew Bragg supported trade liberalisation and argued Australia should diversify trade while avoiding protectionism and industry subsidies.

Read in Hansard ↗

All speeches by bloc

Labor

3 speakers · 3 support

  1. Nita Green Nita Green supported quick entry into force of the agreement and highlighted tariff elimination, First Nations outcomes, women’s economic empowerment and environmental references.
    “The government is committed to seeking the entry into force of the Australia-UAE Comprehensive Economic Partnership Agreement as soon as possible”

    Australian Labor Party • Senator • 31 July 2025

    Read the full speech in Hansard ↗

Coalition

3 speakers · 3 support

  1. Jonathon Duniam Jonathon Duniam supported the benefits of the agreement, including wider export access, but argued the government’s live sheep export ban undermined a possible benefit for farmers.
    “Of course, there are some benefits to this agreement. The agreement is Australia's first free trade agreement with a nation of the Middle East.”

    Liberal Party • Senator • 31 July 2025

    Read the full speech in Hansard ↗

Full record

Full chat